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This video tutorial explains how to price a forward contract, which involves buying or selling an asset at a specified future time. The contract involves exchanging a predetermined amount of cash for ownership of an asset. The asset can be anything, such as gold, shares, or pork bellies. The focus of the video is on pricing a forward contract for a known dividend-paying stock. The key question is determining the fair price for the forward contract without any arbitrage. An example using one unit of Google stock is used to illustrate the calculation.